Coal Health Schemes: Law Society conducting its largest ever investigation

The Law Society is conducting its biggest investigation into law firms as the government called on it to clamp down on solicitors dealing with mining claims.


Responding to a report commissioned by the Department of Trade and Industry (DTI), which was approved last month by energy minister Malcolm Wicks, the Society said it was looking into more than 30 firms as it had received 829 complaints.


The review, by former Home Office official Stephen Boys Smith, showed that some £5 billion was likely to be paid out by the time the current coal health schemes expire, and Mr Wicks claimed some £200 million could be cut through reducing 'unnecessary' legal costs.


He said although he appreciated that many specialist firms were mainly making money through dealing with a bulk caseload, legal costs should 'more accurately reflect the nature of the work undertaken'.


The minister also alleged that certain solicitors had double-charged or 'invited' people to pay extra fees while making them feel obliged to pay up. 'These are essentially matters about conduct within the legal profession and the DTI has no direct role,' he said. 'We have, however, raised the issues with the Law Society in the past, and I will continue to make clear to them the importance of taking these issues forward rigorously and proactively.'


The Law Society has so far concluded 511 of the complaints received, and £150,000 in compensation has been paid out to complainants by means of conciliation. However, not all the complaints have been upheld.


Society chief executive Janet Paraskeva also said it had been working to combat abuses of the system for the past two years through measures such as speeding up the complaints procedures and allowing clients to report to the Society directly. She said new Law Society boards would consider the Boys Smith report in the new year.